Natural Gas and the Transformation of the U.S. Energy Sector: Electricity Life Cycle GHG Emissions of Barnett Shale Gas in 2009 Garvin Heath, PhD Yale Center for Environmental Law and Policy Seminar series: "Emerging Issues in Shale Gas Development." March 5, 2013 1 About JISEA JISEA seeks to guide the transformation of the global energy economy through comprehensive, transdisciplinary research focused on the nexus of energy, finance, and society. JISEA Founding Institutions NREL University of Colorado-Boulder Colorado School of Mines Colorado State University Massachusetts Institute of Technology Stanford University 2 Background: Study Goals and Sponsors • JISEA designed this study to address four related topics : – Life cycle greenhouse gas (GHG) emissions associated with shale gas compared to conventional natural gas and other fuels used to generate electricity – Legal and regulatory frameworks governing unconventional gas development at federal, state, and local levels, and how they are changing in response to industry growth and public concerns – Water-related practices of natural gas production companies – Electric power futures – Forecasts of demand for natural gas – and other generating options – in the electric sector under a variety of policy and technology developments over the next 20 to 40 years • Study sponsors: Multi-client sponsor group composed of natural gas producers, utilities, transmission companies, investors, researchers, and environmental NGO 3 Lifecycle Greenhouse Gas Emissions 4 2009 Barnett Shale Gas for Electricity Goal: Develop an estimate using methods independent of previous taking advantage of alternative, high resolution data sets • Leveraged Texas Commission on Environmental Quality inventories of volatile organic compounds from NG production and processing stages – 16,000+ sources – Very high industry participation rates – Year 2009 • Compiled a quality-screened data set of county-level, extended gas composition analyses of produced (raw) gas – Demonstrates wide variability of methane and VOC content within the Barnett Shale play. 5 Methods for Barnett Shale Estimate For original estimates: For estimates taken from literature: • Venting/fugitives: Methane and CO2 • Sources: EPA GHG inventory and other emissions by ratio of inventory VOC and LCAs county-average composition analysis • Sensitivity analysis on estimated ultimate • Combustion sources: Methane and CO2 recovery of wells and emissions from emissions by emission factor using liquids unloading, well completion and inventory activity data well workover 6 Barnett Shale life cycle GHG emissions by life cycle phase and GHG • Most life cycle GHG emissions attributable to generation of electricity from combustion at power plant • Fuel cycle emissions of both CO2 and methane are important Multiple estimates, in parentheses, pertain to high EUR, base case EUR, and low EUR, respectively. Single estimates pertain to stages without sensitivity to EUR. The error bar is plus or minus the total bar length (life cycle GHG emissions). f 7 Barnett Shale Gas Estimate Compared to Harmonized Literature Estimates for Coal and Conventional Gas EUR = estimated ultimate recovery NGCC = natural gas combined cycle Sources: Conventional – O’Donoughue, P.; Heath, G.; Dolan, S. Vorum M.; (2012). “Life Cycle Greenhouse Gas Emissions from Natural Gas–Fired Electricity Generation: Systematic Review and Harmonization.” Journal of Industrial Ecology (conditionally accepted); Unconventional – Heath. G.; O’Donoughue, P.; Arent, D.; Bazilian, M. (In Preparation) 8 Barnett Shale Gas Estimate Compared to Harmonized Literature Estimates for Coal, Conventional and Shale Gas EUR = estimated ultimate recovery NGCC = natural gas combined cycle Sources: Conventional – O’Donoughue, P.; Heath, G.; Dolan, S. Vorum M.; (2012). “Life Cycle Greenhouse Gas Emissions from Natural Gas–Fired Electricity Generation: Systematic Review and Harmonization.” Journal of Industrial Ecology (conditionally accepted); Unconventional – Heath. G.; O’Donoughue, P.; Arent, D.; Bazilian, M. (In Preparation) 9 GHG Sources from Barnett Shale TCEQ Inventories • In the Barnett Shale area, many GHG sources are potentially controllable aPneumatics, from the area source inventory, have no count of individual sources 10 Loss and leakage of produced gas Completions and Workoversb Extracted from Ground Fugitive Losses Potentially Controllable Leakage Combusted as Fuel Production Processing Transmissionc Total 100.0% 100.0% – 0.1% 0.0% 0.5% 0.6% 0.8% 0.1% 0.0% 0.0% 0.9% – 0.9% 3.9% 0.8% 5.6% Delivered to Power Plant a reported as volume of natural gas consumed or lost per volume of natural gas produced. b See footnote to Figure 9 c From Skone et al. (2011) 92.9% • 7.1% fuel cycle loss rate (incl consumed) NG volume per volume of NG produced (at average EUR = 1.42 bcf). – 1.5% NG loss per NG produced – 1.3% methane emitted per NG produced • EUR sensitivity: – low EUR (0.45 bcf) à 2.8% methane leakage rate; 8.9% loss, – high EUR (4.3 bcf) à 0.8% leakage and 6.5% losses. 11 Learn More Download the full report at nrel.gov/docs/fy13osti/55538.pdf Learn more about JISEA’s natural gas work at www.JISEA.org/NaturalGas.cfm Joint Institute for Strategic Energy Analysis (JISEA). 2012. Natural Gas and the Transformation of the U.S. Energy Sector: Electricity. Logan, J., Heath, G., Paranhos, E., Boyd, W., Carlson, K., Macknick, J. NREL/TP-6A50-55538. Golden, CO, USA: National Renewable Energy Laboratory. 12 Barnett Shale Gas Composition Variability 13 Effect of Alternative Gas Composition – Production and Processing Denton Countya Johnson Countya Tarrant Countya Wise Countya 22-County Total Barnett Shale average vs. main results 12% -5% -33% 29% 1% National average vs. main results 15% -11% -36% 29% -3% Denton Countya Johnson Countya Tarrant Countya Wise Countya Volatile organic compounds contentd 18% 19% 6% 23% 16% 18% CO2 contentd 2% 2% 1% 3% 2% 2% Methane contentd 63% 63% 80% 56% 66% 78% Barnett Shale play averageb National averagec a Only the four top-producing counties in the Barnett Shale play are shown. average across the 22 counties of the Barnett Shale play c As reported in EPA (2011) d Percentage by mass b Production-weighted These results have implications for developing more accurate GHG emission inventories at sub-national levels and any regulatory system that might seek to identify high emitters within plays. 14 Life Cycle GHG Emissions from Generation Technologies (estimates published pre-2011) Conventional gas only Source: IPCC SRREN, SPM Figure 8. 15 GHG Emissions from Production and Processing • Most emissions from CO2 • Much of emissions is potentially controllable, including combustion (e.g., higher efficiency) 16